In a trading update released today, XLMedia, the leading global digital performance publisher, revealed that it expects approximately $32 million in revenue for H1, 2021. Additionally, the company plans to keep the positive momentum throughout the year and reach its $65-$70 million projected revenue for 2021. Besides the financial update, XLMedia has also unveiled details regarding a recent operational update.
XLMedia Shares a Trading Update, Reveals H1 2021 Results
The leading global digital performance publisher, XLMedia PLC, released a trading update today for the six months that ended June 30, 2021. The company revealed that it expects to report approximately $32.0 million in revenue for H1, 2021. This marks an increase compared to H1, 2020, when revenue halted at $27.7 million. On the other hand, XLMedia expects EBITDA (earnings before interest, taxes, depreciation and amortization) of approximately $2.9 million for the first six months in 2021, which marks a decrease from the $3.5 million in H1, 2020. Additionally, adjusted EBITDA for H1, 2021 is expected to be approximately $7.0 million, up from the $5.1 million in H1, 2021.
“Cash balances remained strong and at [the] end of June 2021 were approximately US$38.0 million,“
XLMedia explains in a statement
The company acknowledged that its cash balances remained strong as of the end of June 2021, reporting approximately $38.0 million, up from the $24.8 million for the same period last year. Thus, XLMedia reaffirmed that it is on track with its projected revenue of $65 to $70 million for the full 2021 year.
According to the company, the good progress so far was buoyed by a consistent performance within the personal finance vertical. The company’s success was boosted by the strong growth of the European Sports market, as well as the recently acquired US Sports betting assets. With that in mind, XLMedia acknowledges that its success since H1 2021 was “partially offset by the Casino vertical’s performance, where tail revenues continue to deteriorate and new revenue is being built from a smaller existing asset base.“
The Company Reveals Organizational Changes
Besides the financial update, XLMedia released an operational update, as well. The company outlined that it has integrated and launched multiple marketing initiatives within the US sports market, which will further boost the company’s positive momentum. Additionally, XLMedia acknowledged that the marketing initiatives will increase levels of traffic within all sites since their acquisition. The company also stressed that it’s US sports vertical will undoubtedly bring many benefits from the sports season in H2, 2021.
“The US Sports vertical is well-placed to benefit from the US sports season in H2 2021.”
Part of the operational update, according to XLMedia, includes a reorganization of the company. Ultimately, the company aims to “better match the design of the Group with its strategic intentions and more effectively execute and deliver them.” XLMedia said that this process is mainly related to the Casino vertical, which continues to generate lower revenue levels. Last but not least, the company revealed that the organizational changes may “allow for a total workforce reduction of up to 15%.”